ASX Option Trades (Trading Diary) for 22nd July 2013

Just a basic blog with some trades for others to see on the ASX.

For testing Purposes I will assume a bank of $100,000. 

Date: 22/07/2013

Trades : 
CBA sell PUT $66.00 Expiry Aug 29th August for 5 Contracts (500 shares) @ 0.35 per contract = $175.00 - $40 brokerage (simple as it covers the cost of brokerage + per contract costs).  Profit : $135
There is 38 days till expiry.

Total Liability : $33,000. 
Possible Profit : $135 ( [135/38 * 365 / 33000] = 3.9% pa

BHP sell PUT $32.00 Expiry Aug 29th August for 10 Contracts (1000 shares) @ 0.33 per contract = $330.00 - $40 brokerage (simple as it covers the cost of brokerage + per contract costs).  Profit : $290 There is 38 days till expiry.

Total Liability : $32,000. 
Possible Profit : $290 ( [290/38 * 365 / 32000] = 8.7% pa

WBC sell PUT $27.91 Expiry Aug 29th August for 10 Contracts (1200 shares) @ 0.185 per contract = $222.00 - $40 brokerage (simple as it covers the cost of brokerage + per contract costs).  Profit : $182 There is 38 days till expiry.

Total Liability : $33,492. 
Possible Profit : $182 ( [182/38 * 365 / 33492] = 5.2% pa


The total Possible from now till Aug 31st assuming that no contracts are exercised is :

Contracts Profit : 135 + 290 + 182 = $607

This money will sit in a high interest savings account.  For now I will make the assumption of 4% paid monthly.

Bank Interest : 100,000  * (0.04/365 * 38 days) = $416

Total Profit till 29th August on no Expiry :  607 + 416 = $1023  ( [1023/38 * 365 / 100000] = 9.28% pa

9.28% is not a bad return for some trades which are not very risky.